Case Study: the Apple iPod in China
Stephen Frost1* and Margaret Burnett2* 1 Department of Asian and International Studies, City University of Hong Kong, China 2 Corporate Environmental Governance Programme, University of Hong Kong, China
Keywords: Apple; iPod; Foxconn; China; sweatshop; Hon Hai; supply chain; electronics
Introduction to the Case
A
ll material in this case is based on publicly available information. The case is intended to be used for both research and teaching purposes. The authors make no judgment whatsoever about the conduct of any of the parties involved in this case study.
Background
As with many other manufactured items these days, the bulk of electronic products sold on the global market are made or assembled in China. Although this has made good business sense, the outsourcing of production to the developing world (and particularly to China) has resulted in criticism from civil society organizations about workplace standards. Since the early 1990s, a range of people (including labour rights activists, trade unionists, students, journalists, academics and other concerned citizens) have targeted companies in the apparel, sports shoe and toy industry over the low wages, long hours and poor workplace safety in the factories from which they source (but do not usually own). Among the most well known recipients of such criticism have been Gap, Nike and Mattel, all of whom – along with many others – have attempted to use their buying power in the supply chain to encourage factories to improve. Until the 2000s the anti-sweatshop movement – as it has been generally called – focused almost exclusively on the three sectors mentioned. Several large retailers such as Tesco and Wal-Mart have found themselves under fire over the same
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